GURUFOCUS.COM » STOCK LIST » Healthcare » Medical Devices & Instruments » Paragon 28 Inc (NYSE:FNA) » Definitions » Degree of Operating Leverage

FNA (Paragon 28) Degree of Operating Leverage : -1.10 (As of Sep. 2024)


View and export this data going back to 2021. Start your Free Trial

What is Paragon 28 Degree of Operating Leverage?

Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue. Paragon 28's Degree of Operating Leverage for the quarter that ended in Sep. 2024 was -1.10. The higher Degree of Operating Leverage, the higher operating risk the company will take.

The industry rank for Paragon 28's Degree of Operating Leverage or its related term are showing as below:

FNA's Degree of Operating Leverage is ranked better than
72.22% of 792 companies
in the Medical Devices & Instruments industry
Industry Median: 0.605 vs FNA: -1.10

Paragon 28 Degree of Operating Leverage Historical Data

The historical data trend for Paragon 28's Degree of Operating Leverage can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Paragon 28 Degree of Operating Leverage Chart

Paragon 28 Annual Data
Trend Dec19 Dec20 Dec21 Dec22 Dec23
Degree of Operating Leverage
- - -1.88 19.43 -0.79

Paragon 28 Quarterly Data
Dec19 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24
Degree of Operating Leverage Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 6.06 -0.79 -0.52 -0.95 -1.10

Competitive Comparison of Paragon 28's Degree of Operating Leverage

For the Medical Devices subindustry, Paragon 28's Degree of Operating Leverage, along with its competitors' market caps and Degree of Operating Leverage data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Paragon 28's Degree of Operating Leverage Distribution in the Medical Devices & Instruments Industry

For the Medical Devices & Instruments industry and Healthcare sector, Paragon 28's Degree of Operating Leverage distribution charts can be found below:

* The bar in red indicates where Paragon 28's Degree of Operating Leverage falls into.



Paragon 28 Degree of Operating Leverage Calculation

Paragon 28's Degree of Operating Leverage for the quarter that ended in Sep. 2024 is calculated as:

Degree of Operating Leverage=% Change in EBIT**/% Change in Revenue
=( -54.51 (Sep. 2024) / -68.186 (Sep. 2023) - 1 )/( 244.995 (Sep. 2024) / 207.336 (Sep. 2023) - 1 )
=-0.2006/0.1816
=-1.10***

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

** TTM data of EBIT and Revenue was used to calculate Degree of Operating Leverage.
*** Please be aware that the Degree of Operating Leverage calculations are based on company-level data using the primary share class. The calculated data provided is for demonstration purposes and may slightly differ from the results displayed in the title due to potential variations caused by currency exchange rate differences throughout the year.


Paragon 28  (NYSE:FNA) Degree of Operating Leverage Explanation

Degree of Operating Leverage (DOL) is a leverage ratio that measures the sensitivity of a company’s operting income, also referred to as Earnings Before Interest and Taxes (EBIT), to fluctuations in its Revenue. DOL is a method used to quantify a company’s operating risk. This risk is related to the company's structure of variable costs and fixed costs. Since the fixed costs do not allow the company to adjust the operating costs, the operating risk rises with a higher fixed-to-variable costs proportion.

A high Degree of Operating Leverage indicates that the company’s fixed costs exceed its variable costs. By increasing the sales, the company can earn more profits. In addition, the company must be able to maintain relatively high sales to cover all fixed costs.

Be Aware

The use of operating leverage varies across different industries and business sectors, and the application of Degree of Operating Leverage (DOL) should be adjusted accordingly.


Paragon 28 Degree of Operating Leverage Related Terms

Thank you for viewing the detailed overview of Paragon 28's Degree of Operating Leverage provided by GuruFocus.com. Please click on the following links to see related term pages.


Paragon 28 Business Description

Traded in Other Exchanges
Address
14445 Grasslands Drive, Englewood, CO, USA, 80112
Paragon 28 Inc is a medical devices company that develops, distributes, and sells medical devices in the foot and ankle segment of the orthopedic implant marketplace. Its products include plates and plating systems, screws, staples, and nails aimed to address all major foot and ankle procedures including ankle, Charcot, fracture fixation, hallux valgus, hammertoe, and flat foot. The company's suite of surgical solutions comprises nearly 80 product systems to help fit the specific needs of each patient and procedure. Geographically the company generates the majority of its revenue from the United States.
Executives
Mvm Partners, Llc 10 percent owner OLD CITY HALL, 45 SCHOOL STREET, BOSTON MA 02108
Kristina Wright director C/O PARAGON 28, INC., 14445 GRASSLANDS DRIVE, ENGLEWOOD CO 80112
Albert Dacosta director, officer: See Remarks C/O PARAGON 28, INC., 14445 GRASSLANDS DRIVE, ENGLEWOOD CO 80112
Robert S Mccormack officer: See Remarks C/O VIEWRAY, INC., 2 THERMO FISHER WAY, OAKWOOD VILLAGE OH 44146
Thomas P Schnettler director 800 NICOLLET MALL, J1012057, MINNEAPOLIS MN 55402-7020
B. Ag Bird 10 percent owner BAHNHOFSTRASSE 7, ZUG V8 CH-6300
Matthew Jarboe officer: Chief Commercial Officer C/O PARAGON 28, INC., 14445 GRASSLANDS DRIVE, ENGLEWOOD CO 80112
Partners Llp Mvm 10 percent owner 30 ST. GEORGE STREET, LONDON X0 W1S SFH
Jonathan I Friedman officer: General Counsel DENTSPLY SIRONA INC., 30-30 47TH AVENUE, SUITE 500, LONG ISLAND CITY NY 11101
Lee Rosenthal 10 percent owner C/O PARAGON 28, INC., 14445 GRASSLANDS DRIVE, ENGLEWOOD CO 80112
Quentin S. Blackford director 7475 LUSK BLVD., SAN DIEGO CA 92121
Frank S. Bono officer: Chief Technology Officer 5677 AIRLINE ROAD, ARLINGTON TN 38002
Jason Allan Edie officer: Chief Technology Officer C/O PARAGON 28, INC., 14445 GRASSLANDS DRIVE, ENGLEWOOD CO 80112
Erik E Mickelson officer: Chief Accounting Officer C/O PARAGON 28, INC., 14445 GRASSLANDS DRIVE, ENGLEWOOD CO 80112
Meghan Scanlon director C/O BOSTON SCIENTIFIC CORPORATION, 300 BOSTON SCIENTIFIC WAY, MARLBOROUGH MA 01752

Paragon 28 Headlines

From GuruFocus

MVM Partners, LLC Reduces Stake in Paragon 28 Inc

By GuruFocus News 11-27-2024

MVM Partners, LLC Reduces Stake in Paragon 28 Inc

By GuruFocus News 11-30-2024